Shopify Stock Takes Its Cue From Palantir Technologies. History Says This Will Happen Next.

Group 1 - Shopify has removed its U.S. shares from the New York Stock Exchange and relisted them on the Nasdaq, likely to become eligible for the Nasdaq-100 index [1] - If selected for the Nasdaq-100, Shopify's stock could experience significant price increases, as seen with Palantir Technologies, which saw a 7% rise after its inclusion [2][4] - The Nasdaq-100 index includes 100 large companies and is reconstituted annually, with modifications possible throughout the year [3] Group 2 - Shopify's current market value is $131 billion, ranking it among the 35 largest companies on the Nasdaq, enhancing its chances for Nasdaq-100 inclusion [4] - Historically, companies added to the Nasdaq-100 have seen an average return of 16% in the 12 months following their inclusion [5] - The demand for stocks in the Nasdaq-100 is driven by numerous investment products tied to the index, which manage hundreds of billions of dollars [6] Group 3 - Inclusion in benchmarks is increasingly important for companies due to the rise of passively managed investment funds [7] - Shopify is a market leader in e-commerce software, with its merchants accounting for over 12% of online retail sales in the U.S. and 6% in Western Europe [9] - The company has a significant opportunity in wholesale e-commerce, which is projected to grow at 18% annually through 2030, and is already three times larger than retail e-commerce [10] Group 4 - Shopify reported a 31% increase in revenue to$ 2.8 billion in the fourth quarter, with strong growth in wholesale, offline retail, and international commerce [11] - Operating expenses as a percentage of revenue have reached their lowest level since Shopify's IPO in 2015, indicating improved efficiency [12] - Shopify's total addressable market is valued at $850 billion, with Wall Street estimating adjusted earnings growth of 26% annually through 2026 [13]